EU Parliament gives nod to Moldova trade agreement

Moldova has been given the green light by the European Parliament for political and economic integration through the EU-Moldova Association Agreement.

For Moldova, it is another step closer to the European Union, and
duty-free trade under the Deep and Comprehensive Free Trade
Agreement (DCFTA). It could cause tension with neighboring
Russia, which buys 20 percent of Moldovan exports and is its
biggest trading partner.

The parliamentary decision received overwhelming support with 535
votes for and 94 against, with 44 abstentions. The ratification
was first approved by the European Parliament’s Foreign Affairs
Committee on October 16.

MEPs stressed the signing of the agreement on June 27 and the
ratification of the association deal “does not constitute a
final goal” in EU-Moldova relations.

"I am convinced that only a European future will give our
citizens a better life, higher incomes, good roads, education and
medicine with the best services, access to a market of half a
billion consumers, and institutions that will work according to
European standards," the PM said, as reported by TASS.

Moldova with a population of 3.5 million is split over the
decision for closer ties with Europe or Russia. Forty-five
percent favor joining with Russia and 43 percent support EU
integration. In the breakaway region of Transnistria and
Gagauzia, more than 90 percent favored closer ties with Moscow.

'Not against Russia'

Deputy Chairman of the Social Democratic grouping in the European
Parliament Knut Fleckenstein said he will visit Moscow next week
to smooth over Moldova’s tilt towards Europe.

"The [agreements, Ed.] are not directed against Russia. We
will make sure that they stop applying pressure on the small and
courageous nation," the MEP said.

Officially, Russia isn't against any pivots towards Europe, they just
want to make sure the transitions are well-thought out.

“A more stable, secure and prosperous Moldova would also
benefit Russian producers and investors,” said Andi Cristea,
the head of the European Parliaments Moldovan delegation.

Moldova is a former Soviet republic that borders Ukraine. It has
a history of detrimental trade rows with Moscow over meat and
wine. As the country has been moving closer to integration with
the EU, Moscow has been introducing more bans, including on
imported onions.

“However, the Russian Federation remains an important actor.
We need to keep all communication channels with Russia open,
while remaining firm,” Cristea said.

On Wednesday, the state gas company Moldovagaz extended its gas
contract with Russia’s Gazprom through 2015. Moldova is a member
of the European Energy Community (EEC).

Moldova is among Europe's poorest countries but is growing
steadily. Exports of fruit, vegetables, wine, and tobacco make up
the backbone of the agriculture-based economy.

Ukraine has had its trade agreement ratified by each of the 28
EU-member states, but Moldova and Georgia have not.